The winning investor theme for 30 years.

PaulRen's picture

The basic winning investor theme here for over 25 years. With a set back in years 2017 to 2019.

The key here to understand the investor success theme here over 25 years is very simple:  institutions are/must be interested to only invest in stocks which have very high trading liquidity. As these invest hundreds of millions/or even billions of dollars.  Liquidity is their golden mandate -and handicap.  Hence they must invest millions of $, per individual stock only due to their own liquidity constraints. 

Brokers must to cather to institutions, as these are their big clients, so most only analyze these big cap. Thai companies.  Individuals however clearly do not have this stern high liquidity requirement/restraint (as liquidity is very relative to how much you invest), so they can choose among the many others back-bone firms here which are all but ignored by brokers & institutions. 

Some 70% of Thai economic activity is generated by smaller and mid cap companies here, the very ones which are all but ignored by these big investors.  Hence individuals actually have a huge advantage to cherry-pick on smaller successful companies which are all but of the radar screen of these.  Its a big advantage because smaller listed companies here often pay very nice dividends, besides grow faster with often lower debt levels -and in the current dire environment do not have the macro covit-19 problems big companies endure. 

Also many smaller Thai companies are export oriented so these are doing well now, not least due to the dropping Baht currency.  This is the winning investor theme, and in a broad sense over the years has produced substantial returns.  :)    For some 30 years I have focused on this very smaller cap sector, know many of these companies as I have visited over 150, in person, over 3 decades.  :).  Investor returns as I chose them took a beating from 2017 to 2019, but in early 2020 came back for all the right reasons, not least because individual investor have come back in a big way over the past 18 months.

One interesting/unique thing about my reputable web site is that I publish performance records through my model portfolio's to all members, at the same time all at once. When you think about it, this is very different than say an investor guru which acclaims a good record.... because he/she could be showing one account with a good performance record, but not another which did poorly. Here its shown to all at once -for better or worse.  If I later were to deleted it, or were to change things (which I never do) all members would instantly see this deviance and so I would loose all credibility. 98% of all members renew year after year, many have been here for over a decade. 

Best Regards,

Paul A. Renaud.